POSH Policy Guide: Drafting, Compliance & Workplace Safety

Introduction to POSH Policy and Compliance

Workplace harassment is an issue organizations must address proactively, even before employees enter the workplace. With the enactment of the Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013 (commonly known as the POSH Act), organizations in India are now legally required to have comprehensive POSH policies to prevent and address workplace harassment.  However, drafting a POSH policy that complies with legal norms while also instilling confidence among the employees, may prove to be challenging.

This article covers a complete guide to drafting an effective POSH policy with a step-by-step guide. We create the essential guide on how to draft your workplace harassment policy. Whether you are a startup or an established organization, this guide will help you develop a robust workplace harassment policy. To read further, check our article on the Overview of POSH Laws in India.

However, by implementing appropriate sexual harassment prevention initiatives, organizations can not only achieve compliance but also move toward a respectful workplace culture.

Sexual Harassment at Workplace
Sexual Harassment at Workplace

Importance of a POSH Policy: Compliance & Workplace Safety

Every Organization Must Have a POSH Policy

Implementing a POSH policy is not just a statutory obligation but also an essential step towards creating a dignified and respectful work environment. If implemented properly, a POSH compliance policy provides a safe, respectful, and empowering work environment for employees. It enables organizations to build a culture where productivity and collaboration can flourish, devoid of fear or bias.

Read more: Impact of POSH Laws on Workplace Culture in India.

Workplace Harassment: Impact on Employees & Businesses

The repercussions of workplace harassment are far and wide for both individuals and organizations:

  • For Employees: Harassment can lead to stress, anxiety, and decreased morale. Victims may suffer from mental health issues, low self-esteem, and career stagnation.
  • For Businesses: Harassment has ripple effects throughout the organization. This can result in lower employee engagement, higher turnover rates, and worse employer branding. In the most malicious cases, businesses can even be subjected to legal and financial penalties in the form of litigation or settlements.

POSH Act, 2013 Compliance Requirements for Employers

Active efforts towards the prevention of sexual harassment in the workplace and implementation of a comprehensive workplace harassment policy include workplace janitorial services, scheduled company meetings, training programs, and redressal mechanisms that are mandated under the POSH Act. Companies must provide such benefits to be legally compliant and, in doing so, signal their commitment to employees’ well-being. To gain better insights, Read the article on Legal Obligations of Employers Under the POSH Act.

POSH Act 2013: Key Legal Provisions & Employer Duties

Sexual Harassment Defined

Under the POSH Act, sexual harassment is broadly defined under section 2(n) as:

“sexual harassment” includes any one or more of the following unwelcome acts or behavior (whether directly or by implication) namely:-

(i) physical contact and advances; or

(ii) a demand or request for sexual favors; or

(iii) making sexually colored remarks, or (iv) showing pornography; or

(v) any other unwelcome physical, verbal, or non-verbal conduct of a sexual nature;

Employer Obligations Under POSH Act: Compliance Checklist

Employers have a duty to:

  • Introduce Internal Committee (IC): The IC  is responsible for addressing and investigating complaints in an unbiased manner.
  • Train Employees: Training sessions and awareness programs should be conducted regularly to educate the employees about their rights and duties under the POSH Act.
  • Display POSH Information: Information about employee rights and contact details of the IC should be displayed prominently.

Legal Penalties for POSH Act Non-Compliance: Risks & Consequences

Non-compliance with the POSH Act attracts heavy penalties as under:

  • Monetary penalties extend up to ₹50,000 for the first offense.
  • Higher penalties for repeat offenses.
  • Risk of cancellation of business licenses or registrations.

3. Critical Elements of a POSH Policy

Purpose and Scope

A POSH policy begins with a purpose statement, which serves as the basis for the POSH policy. It should point out the organization’s commitment to providing a safe and harassment-free workplace. The scope should specify who the policy applies to (e.g., employees, interns, contractors, and anyone with an affiliation with the organization).

Definitions

Clear definitions are crucial for understanding the policy. The policy should define sexual harassment clearly and should include examples of unacceptable behavior. This clarity helps ensure that all employees, regardless of their background,  understand what constitutes harassment and the expected standard of conduct in the workplace.

Preventive Measures

Taking proactive measures can prevent harassment in the workplace. Key preventive measures include:

Role of the POSH Internal Committee (IC) in Workplace Harassment Cases

The redressal takes place through the IC. Key aspects include:

  • Composition: The presiding officer must be a senior female employee of the organization. The committee should also include at least two members committed to women’s causes and one external member with experience in law or social work.
  • Role: The IC is responsible for conducting unbiased investigations into complaints and recommending appropriate remedial action.

POSH Complaint Mechanism: Reporting & Redressal Process

A strong complaint mechanism is necessary for employees to report harassment promptly. It should include:

  • Filing Procedures: To submit complaints, employees should be able to file complaints either verbally or in writing. If the complainant is unable to write, assistance will be provided.
  • Timelines: Clear guidelines should be in place for timely acknowledgment of complaints, along with investigations and resolutions of complaints.

Confidentiality Clause

Maintaining confidentiality builds trust in the process. The policy should make clear how identities and details in the particular case will be safeguarded so that sensitive information will only be shared on a need-to-know basis.

POSH Policy Disciplinary Actions: Consequences of Non-Compliance

The policy should define the disciplinary actions for proven cases of harassment. These can include everything from a verbal warning and a written apology to suspension or dismissal, depending on the seriousness of the offense.

POSH Policy Review: Why Regular Updates Are Essential

Policies must evolve to remain relevant. Organizations should ensure that they conduct periodic reviews, including collecting feedback from employees and adapting to any changes in the legal landscape.

4. How to Develop the POSH Policy: Sample Outline for Creating

Step 1: Know the Legal Requirements

The POSH Act mandates clarity and precision in its provisions, so do not randomly create any statement. This shows that your policy complies with the law and reflects best practices.

Step 2: Define the Scope

Enumerate the stakeholders to whom this policy applies. Specify whether this is for only full-time employees, or interns, freelancers, and even third-party contractors working on your premises.

Step 3: Create Clear Definitions

Give detailed explanations with examples from the real world. For example, saying suggestive comments is a type of verbal harassment, while showing inappropriate actions and sending unsolicited explicit content fall under non-verbal harassment.

Step 4: List Out Ways You Can Prevent It

The foundation of a harassment-free workplace is prevention. Make training mandatory conduct regular awareness drives; and use strong anti-harassment signages throughout the office.

Step 5: Form the Internal Committee (IC)

Meta-Analysis: Describe the structure of the IC and describe the unique role of individual members of the IC. Additionally, this should include specifics on how external members will be selected and how they will contribute to impartial decision-making.

Step 6: Describe the mechanism for complaints

Provide a step-by-step guide:

  • How employees can file complaints (through email, letters, or specific portals).
  • Timeframe for acknowledging any complaints (within 7 days on average).
  • The stages of the investigation process include interviewing both parties and witnesses.

Step 7: Add clauses about confidentiality

Describe how confidentiality will be preserved at each stage of the complaint process. This makes it easier for more employees to come forward, which helps to build trust.

Step 7: Completion of Disciplinary Actions

Outline all possible forms of discipline, ensuring they are proportional to the infraction. These may include sensitivity training for minor infractions and termination for serious misconduct.

Step 9: Prepare for a Policy Review

Create schedules for periodic reviews. The purpose of this regular check-in is to ensure that the policy adapts to evolving workplace dynamics, aligns with legal standards, and remains effective.

Downloadable POSH Policy Template

To assist organizations in framing and implementing an effective POSH policy, we have prepared a POSH Policy template in PDF format. This template offers a pre-built structure that can be tailored to suit the unique needs of your organization.

Download the POSH Policy Template Here.

How to Implement & Monitor a POSH Policy Effectively

POSH Training Programs: Educating Employees & Employers

Training is essential to the successful implementation of any policy. Design customized training sessions for employees at every level, aimed to:

  • Recognizing harassment.
  • Familiarity with the complaint handling process.
  • Highlighting the need to build a system of support.

Regular Audits

The organizations must perform periodic audits to evaluate:

  • How far the policy went and if it worked.
  • Awareness of the policy and reporting mechanisms by employees.
  • Feedback from employees and IC members.

Reporting Mechanisms

Establish easy pathways for employees to report harassment, including centralized email, helpline, or anonymous reporting system. Make sure these mechanisms are easy to use and well-publicized.

6. How to Ensure Compliance with POSH Policies

Common Pitfalls

Organizations often struggle with the following:

  • Unawareness: Employees might not be completely aware of their right to report harassment or the process of filing a complaint.
  • Investigations can be biased: Investigations may be biased due to personal feelings which can give rise to unfair results.

Solutions

  • Raise regular awareness programs to educate the employees regarding the policy and their rights.
  • Providing training to IC members on unbiased and professional handling of complaints. Engage external experts to mitigate biases.

POSH Policy FAQs: Common Questions & Answers for Employers

Q1. What is the Workplace Harassment Policy?

Workplace harassment policy is a formal document that outlines an organization’s commitment to preventing workplace harassment, defines unacceptable behaviors, and contains procedures for reporting and addressing complaints. It also serves as a guide for employees as to their rights and responsibilities in maintaining a respectful workplace.

Q2. How to draft a POSH Policy Template?

  • POSH Act: Understanding the Legal Mandates.
  • With clear definitions of sexual harassment.
  • This includes outlining preventative measures, complaint processes, and disciplinary measures.
  • And specifying how to establish and what are the powers of the Internal Committee.
  • Keeping all information confidential and reviewing policies regularly.

Q3. What Are the Elements of a POSH Policy?

The basic requirements of a POSH policy are:

  • A purpose statement and scope of applicability.
  • Legal Definitions of Sexual Harassment with examples.
  • Preventative bookkeeping such as training programs.
  • Focused path to the complaint process and timelines.
  • The roles and duties of the Internal Committee.
  • Confidentiality agreements and punitive measures.
  • Infringements by scheduled, updatable policy reviews.

Conclusion

Avoiding workplace sexual harassment is not just about compliance — it’s about creating a culture of dignity and respect. A well-executed POSH policy not only ensures legal compliance but also protects your employees and enhances trust and respect in the workplace. Let this guide help you formulate a policy that works for both your business principles and compliance with your legal requirements. Let’s work together to create workplaces where everyone feels safe and valued.

About Us

Corrida Legal is a boutique corporate & employment law firm serving as a strategic partner to businesses by helping them navigate transactions, fundraising-investor readiness, operational contracts, workforce management, data privacy, and disputes. The firm provides specialized and end-to-end corporate & employment law solutions, thereby eliminating the need for multiple law firm engagements. We are actively working on transactional drafting & advisory, operational & employment-related contracts, POSH, HR & data privacy-related compliances and audits, India-entry strategy & incorporation, statutory and labour law-related licenses, and registrations, and we defend our clients before all Indian courts to ensure seamless operations.

We keep our clients future-ready by ensuring compliance with the upcoming Indian Labour codes on Wages, Industrial Relations, Social Security, Occupational Safety, Health, and Working Conditions – and the Digital Personal Data Protection Act, of 2023. With offices across India including Gurgaon, Mumbai, and Delhi coupled with global partnerships with international law firms in Dubai, Singapore, the United Kingdom, and the USA, we are the preferred law firm for India entry and international business setups. Reach out to us on LinkedIn or contact us at contact@corridalegal.com/+91-8826680614 in case you require any legal assistance. Visit our publications page for detailed articles on contemporary legal issues and updates.

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